Most people reading this are well aware of the fact that China and
Russia have been acquiring gold for the past several years. Russia just
added another 12.44 tons, in July 2017, to their continually growing
gold hoard. China, on the other hand, has not added a single ounce of
gold to their “official” gold hoard since October 2016. China, instead,
has been adding gold mines to their increasing resources hoard. Why add a
few tons each month to your gold hoard when you can acquire productive
gold mines, tie these investments in gold mines to the Shanghai Gold
Exchange (SGE) and not have to report which account the gold is placed –
official or unofficial?
China has set up its largest gold-investment fund ever,
expected to total 100 billion yuan ($16 billion), aiming to invest in
mining projects in the region and enhance Chinese influence in global
gold markets, local media reports said Wednesday.
The “Silk Road Gold Fund” — led by the Shanghai Gold Exchange and
others — is reportedly focused on investing in gold projects as part of
China’s “New Silk Road” push to deepen economic ties with other
countries in the region, particularly those along the ancient Silk Road
trade route linking Eastern and Western Asia. In fact, the fund’s
founding late last week took place in Xi’an, the historic starting point
of the Silk Road.
Source
It is also been recently reported that China and Russia are in the
process of tying the Moscow Gold Market to the SGE for the purpose of
linking the two nations together to make trade using gold much easier,
while at the same being able to trade using gold with the other BRICS
nations, thereby, completely bypassing the use of the Federal Reserve
Note for trade settlement.
BRICS countries are large economies with
large reserves of gold and an impressive volume of production and
consumption of this precious metal. In China, the gold trade is
conducted in Shanghai, in Russia it is in Moscow. Our idea is to create a
link between the two cities in order to increase trade between the two
markets.
Future plans to facilitate transactions between Moscow and Beijing in
gold would certainly explain why the two countries are leading gold
producers and buyers.
Creating a BRICS “gold marketplace” would be an excellent way of
bypassing the dollar while also using a “currency” that could be easily
recycled for trade with other member nations.
Source
All this gold moving into a variety of markets, and unofficial
Chinese accounts, gets almost zero coverage, as does the Belt and Road
Initiative, by the Western mainstream media. These massive changes to
the global economy and global monetary system should be of great
importance to anyone wishing to capture a glimpse of how future markets
may be impacted. The majority of reporting focuses on how “China’s
economy is about crash and burn”. If this is the Western mainstream
media’s main talking point why wouldn’t this be a contrarian indicator
since the Western mainstream media has an excellent track record of
reporting the exact opposite of the truth? Does China’s economy have
problems? Absolutely. However, China is also the world’s largest
creditor nation which means that countries around the world believe
China has the economic fortitude to help their local economy. Somebody
believes China’s economy is doing just fine.
If we turn to the Belt and Road Initiative (BRI) we find an infrastructure project 11 times greater than the Marshall Plan.
We see airports, seaports, highways, water systems and high-speed rail
lines, along with all the supporting structuring being fully developed.
My argument for a number of years has been, yes, China is generating
enormous debt, but at the end of the day China will have tangible items
that produce prosperity, not only for China, but a massive geopolitical
base from Beijing to London to North Africa and India. Through the BRICS
alliance the BRI will move into South Africa and South America. To
ignore this program is to ignore the largest project in human history.
Gold is being discussed as payment along the Belt and Road Initiative.
We recently reported
that gold was flying off the retail shelves in China and one of China’s
largest gold operations was reporting a 10% increase within China’s
retail gold market. What impact does this 10% increase translate to the
actual overall savings/wealth preservation of the Chinese people?
According to US Bureau of Economic Analysis via
Trading Economics, zero impact. I wonder if gold is accounted for in “personal savings” in the USBEA report.
We also know that cryptocurrencies are making a lot of noise in the
Asia markets. Primarily as a way of “hiding” funds. These funds will
re-enter the market, primarily in the same form as they were “hidden” –
via the local fiat currency, be it yuan, Thailand baht, Korean won or
whatever it was before it went underground. My
guess is, since
these “currencies” are so new they are not counted in personal savings
and probably not truly counted as a currency. If they were a currency
laws around the world would have to be rewritten and, to date, only
Japan and Australia recognize bitcoin, and no other cryptocurrency, as a
currency. The U.S. is debating a new law to combat digital currency
and, from what I have read of the legislation, it is not very friendly
towards these new currencies being born everyday.
The power base of the American oligarchs is centered in the Federal
Reserve Note. The oligarchs will not simply roll over and submit to
their power being stripped away and their control mechanism being
crushed.
It appears that carrying your digital currency wallet on a
thumb drive or simply memorizing your wallet password will not do the
trick. According to the legislation being proposed in
Senate Bill – S.1241 in Section 13:
Subsection A
“(7) ‘prepaid access device’ means an
electronic device or vehicle, such as a card, plate, code, number,
electronic serial number, mobile identification number, personal
identification number, or other instrument, that provides a portal to
funds or the value of funds that have been paid in advance and can be
retrievable and transferable at some point in the future.”.
Source
This power base will, possibly, be maintained through new
technologies that have already surfaced. Quantum computing, combined
with regional nodes and international “super-nodes”. A node is simply
another way of describing a computer. The computer/phone/tablet
providing you access to the internet is another type of node. Regional
and international nodes are a big deal for the computing power and
digital gates that are part of their architecture. These nodes are
completely different and provide routing services for most, if not all,
internet traffic on a global basis. Can you see the potential for
serious issues to arise from this type of government controlled system?
Adapt 2030 YouTuber
has been conducting, what appears to be, serious research into these
nodes, quantum computing and what is happening with the Chinese
government in conjunction with cryptocurrencies and global monetary
systems. If you remember SGTReport conducted an interview with James
Corbett –
CHINA: THE KEY TO THE NEW WORLD ORDER – in
which Corbett discussed, in great detail, how the Chinese oligarchs,
government officials and economist were primarily educated in the
Western halls of economic nonsense, like Princeton, Yale and Oxford in
England. This is the same educational system that produced all the
monetary, financial and economic problems we are wrestling with in the
U.S., Europe and all the other nations tied to the Federal Reserve Note.
These two points are not stand-alone situations they are absolutely
tied together.
If China is working from the same “playbook” as the Western oligarchs
this would mean they have a vested interest in seeing this system of
fraud, theft and propaganda continue moving forward. The Chinese
oligarchs, along with the Russian and American oligarchs are the ones
making the decisions that impact our lives. It may be important to know
this going into a digital system. The digital system that is currently
being built, on a global scale, may not have our best interest at heart.
This new digital system may see the citizens as nothing more than an
ATM which are to be used for extracting our wealth through our labor.
The same as we are seen today.
In part 2 of this series we are going to take a deep dive into
quantum computing, super-nodes and what is happening with these
extremely powerful computing technologies. I am not technology expert
and will not even pretend to know the architecture of quantum computing
or super-nodes. That will not be the focus. The focus will be on how
these technologies are used and for what purpose. Are they in use today,
if so, to what degree and if not, how will this new system unfold and
the timelines involved.
 
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Rory Hall, Editor-in-Chief of The Daily Coin, has written over 700 articles and produced more than 200 videos about the precious metals market, economic and monetary policies as well as geopolitical events since 1987. His articles have been published by Zerohedge, SHTFPlan, Sprott Money, GoldSilver and Silver Doctors, SGTReport, just to name a few. Rory has contributed daily to SGTReport since 2012. He has interviewed experts such as Dr. Paul Craig Roberts, Dr. Marc Faber, Eric Sprott, Gerald Celente and Peter Schiff, to name but a few. Visit The Daily Coin website and The Daily Coin YouTube channels to enjoy original and some of the best economic, precious metals, geopolitical and preparedness news from around the world.
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The author is not affiliated with, endorsed or sponsored by Sprott Money Ltd. The views and opinions expressed in this material are those of the author or guest speaker, are subject to change and may not necessarily reflect the opinions of Sprott Money Ltd. Sprott Money does not guarantee the accuracy, completeness, timeliness and reliability of the information or any results from its use.
